Key Metrics
10.7
Heat Index-
Impact LevelMedium
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Scope LevelNational
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Last Update2025-08-31
Key Impacts
Positive Impacts (10)
Event Overview
Introduction of regulatory frameworks governing cross-border digital asset trading highlights ongoing efforts to balance market access, investor protection, and compliance challenges. The advisory reflects tensions between fostering market innovation and maintaining domestic oversight over foreign entities. Regulatory harmonization remains central to addressing jurisdictional complexities in global financial markets, underscoring the importance of cooperation and standardized compliance pathways for digital asset exchanges operating across national boundaries.
Collect Records
CFTC Issues FBOT Advisory Granting Pathway for Non-U.S. Crypto Exchanges to Serve U.S. Users
The Commodity Futures Trading Commission's (CFTC) Division of Market Oversight has issued an advisory regarding the Foreign Board of Trade (FBOT) registration framework for non-U.S. entities legally organized and operating outside the United States that seek to provide persons physically located in the United States with direct market access to their trading platforms. This FBOT registration framework applies to all markets, including both traditional and digital asset markets.
Acting Chairman Caroline D. Pham stated that the advisory provides the regulatory clarity needed to legally onshore trading activity that had been driven out of the United States due to regulation by enforcement in recent years. The CFTC's approach reaffirms its longstanding policy to offer American traders access to global markets and a wide range of products and asset classes.
The advisory allows American companies that previously relocated abroad to facilitate crypto asset trading to have a pathway back to U.S. markets. Chairman Pham emphasized that the CFTC's existing registration categories are the simplest and fastest solution for facilitating such access and welcomed Americans who wish to trade efficiently and safely under CFTC regulations, while opening U.S. markets to global participants.